Litecoin is 20 places below Bitcoin in the list of cryptocurrencies by market capitalization. The crypto asset which is labeled as Bitcoin’s silver is missing among the top performing cryptocurrencies.
The crypto market has been bearish for a while. Litecoin missed out during the relief rally in June and July. As the prices of crypto assets have plummeted again, there have been questions about several cryptocurrencies.
Bitcoin and Ethereum, the top two cryptocurrencies have had their prices plummet. If investors would still consider a lower-placed Litecoin needs an answer.
In this post, we’ll see if investors can still have Litecoin in their portfolios today. For the sake of beginners, let us learn more about Litecoin.
What is Litecoin (LTC)?
Litecoin is a cryptocurrency designed to initiate easy transactions between parties. It is also created to remove the presence of ambiguities and enhance efficiencies at a lower rate.
LTC was created in 2011, two years after Bitcoin debuted. Litecoin was founded by Charlie Lee, an early cryptocurrency adopter.
LTC was created in the image of BTC but better in transaction fees and block form. Litecoin is useful in transferring coins without any central authority.
Its main benefit comes from its speed and cost-effectiveness. Litecoin transactions are typically confirmed in just minutes, and transaction fees are nearly negligible. This makes it an attractive alternative to Bitcoin in developing countries, where transaction fees may be the deciding factor on which cryptocurrency to support.
Is Litecoin investment good in 2022
What is Litecoin’s (LTC) Worth in the Crypto Market?
LTC is no doubt one of the most popular and older coins in the cryptocurrency market. Although it is created to be better than BTC, it is, however, twenty places below it in the ranking table. According to CoinMarketCap, LTC is currently ranked 21st among thousands of crypto projects.
As of writing, the price of LTC is $59.78 USD with a 24-hour trading volume of $597,460,549 USD. LTC is up 8.20% in the last 24 hours and has a live market cap of $4,249,407,060 USD. It also has a circulating supply of 71,078,656 LTC coins and a max. supply of 84,000,000 LTC coins.
You can trade LTC on most of the crypto exchanges worldwide among which is Binance, OKX, Deepcoin, etc. You can sell Litecoin in Nigeria on platforms such as Prestmit.
Important Things to Know About Litecoin
1. Litecoin is lighter and faster than Bitcoin
Although Litecoin promotes itself as silver to Bitcoin’s gold, it is very much lighter and faster. It was originally designed to solve the shortcomings of Bitcoin. LTC processes transactions four times faster, which makes it the choice for crypto traders and investors. LTC’s supply is also four times more than BTC’s. Litecoin has a supply of 84million to Bitcoin’s 21million which some have argued to be better for small transactions.
2. Litecoin is Widely Available
Litecoin’s availability for a decade has made it to be considered one of the more established cryptos. As such, you can get it from most major cryptocurrency exchanges/platforms. LTC hasn’t seen the dramatic price jumps of BTC or ETH over the years. It is however a volatile asset like other cryptos. As there is a promise of potential big profit, there is also uncertainty
Is Litecoin a Good Investment in 2022?
The crypto market has been bearish for most of 2022. Litecoin is among the undervalued cryptocurrency today but investors are still making it an option. This can be seen in its total number of addresses which grew steadily over the last 6 months.
This is seen as a sign of healthy demand, despite its price taking a huge hit during this period. Litecoin had a $3.73 billion market cap on 26 August and 151 million total addresses. If we divide the market cap by the total addresses, we find that the network’s value per address is $24.
Many crypto and financial analysts have stated that this is the best time to invest in cryptocurrencies, especially the ones with real use cases like BTC & LTC. They’ve been tipped to be among the best coins with the most potential for a strong bounce back during the next bull market.
LTC is still holding strong in the crypto world even with the situations of things. LTC’s Coin Days Destroyed metric revealed that there are a lot of unspent UTXOs, especially at their trading price. This is a sign that many investors are holding their coins, although there have been some instances of short-term profit taking.
What You Must Do Before Investing in Litecoin in 2022
1. Do your research- If you’re going to invest in cryptocurrency, it is very important to understand the industry. Do your research on the token, and exchange, and keep yourself abreast with the happenings in the market.
2. Do not fall for the hype– You’ve to avoid falling for hype in the market. You’ll need to check if an asset is on an upswing on its own or riding a bubble. This is because a coin may rise quickly and then loses its gains suddenly.
3. Volatility in price is certain– Asides from stablecoins such as USDT, several others are volatile. This is very certain in the crypto market. You need to have this at the back of your mind when putting your money into crypto assets. There’s no guarantee that you’ll have a return on investment always as an asset will see a dip.
How to Make Short-Term Profit on Litecoin
Trading Litecoin is one of the ways you can make a short-term profit from this crypto asset. If don’t want to hold LTC, you can sell on exchanges or trading platforms.
You can sell Litecoin among other cryptocurrencies in Nigeria via crypto trading platforms. One such crypto trading platform is Prestmit. The company is one of the most trusted and reliable platforms for your trading. Other top crypto assets you can sell here include Bitcoin, Dogecoin, and USDT, at the market rates.
Payment options available here include Nigerian Naira, Ghanaian Cedis, and USDT. Prestmit also has its tentacles spread to Ghana, West Africa.
The Bottom Line
Litecoin may have slipped out of the list of the top 20 cryptocurrencies by market cap. It is on the list of investors going by the total number of its addresses which grew steadily over the last 6 months.
However, if you must invest in crypto assets such as LTC today, you must make your research and also study the market.
